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Kaplan Revenue Down 29% in Second Quarter

By  Rachel Wiseman
August 5, 2011

Following a sharp downturn in enrollment, the Washington Post Company has reported a 29-percent drop in second-quarter revenue at its Kaplan Higher Education division. The decline comes at a time when federal agencies and state legislators are more strictly regulating recruitment practices at for-profit colleges, and are increasingly holding them accountable for their graduates’ ability to find employment and repay their loans. As a result of those restrictions, as well as what the company calls “generally lower demand,” new enrollments dropped 47 percent from the second quarter last year.

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Following a sharp downturn in enrollment, the Washington Post Company has reported a 29-percent drop in second-quarter revenue at its Kaplan Higher Education division. The decline comes at a time when federal agencies and state legislators are more strictly regulating recruitment practices at for-profit colleges, and are increasingly holding them accountable for their graduates’ ability to find employment and repay their loans. As a result of those restrictions, as well as what the company calls “generally lower demand,” new enrollments dropped 47 percent from the second quarter last year.

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